The number of new prospective tenants registering with estate agents has risen to an average of 118 per branch, up from 113 in May. This is a 27% rise on the same period last year.

According to Propertymark, the trade body for estate agents, stock levels “remain insufficient” with the number of properties staying at nine, which is 19% lower than June last year.

The firm’s Housing Insight Report noted that as demand rose and stock levels remained low, then the mismatch would continue to expand, with 13 prospective tenants registering per available property over the month.

This is a 57% increase on the same period last year.

Around 62% of agents surveyed said that rents had increased month-on-month on average in their branch in June. However, this is down from 68% in May and a drop from 80% in June.

Meanwhile, the average number of buyers fell to 69 in June, down from 86 per member branch in May and down 5% on the same period last year.

Propertymark found that the average number of viewings came to 2.6 per property, which is down from a recent peak of 3.3 in April.

The report added that the supply of new homes for sale per member branch continued to fall, standing at 8% per member branch. This compares to 10% last year.

This continued a downward trend from March, when new instructions stood at 11%, then fell to 10% in April and then 9% in May.

The average number of sales agreed per member branch held at seven in June, which is in line with the previous month, but is slightly down from nine last year.

The report said that a “summer lull is generally expected”.

Total stock of properties available per member branch came to 32 on average in June, down from 36 in May. However, this is 23% up on last year.

Average number of appraisals per member branch held steady at 22, which Propertymark said showed that people were “still eager to move home, despite the current economic situation”.

Pressure on rents

Nathan Emerson, CEO of Propertymark, said: “Despite disappointing national economic news reported in June, it is encouraging to see that the number of valuations for sale conducted per branch has remained steady.

“It is clear that a core portion of the country are still looking to get moving and are not put off by current conditions. And, of course, those coming to the market with a home to sell are most often also looking to buy, which keeps the wheels of the market turning for all.”

He added: “In terms of lettings, the number of properties available to rent is 19% lower than last year, while the number of new prospective tenants registering per member branch is up 27% over the same period.

“This worrying mismatch between supply and demand continues to put pressure on rents. UK Government’s need to stop tinkering around the edges of the problem and look to adequately incentivise the provision of desperately needed homes in the private rented sector.”